In a dramatic shift in the ongoing trade dispute with the United States, the Chinese mainland announced a series of countermeasures on Friday. These measures include an additional 34% tariff on all U.S. goods starting April 10, aiming to offset the reciprocal tariffs imposed by U.S. authorities.
The announcement sent shockwaves through U.S. financial markets, with the Dow Jones Industrial Average falling by more than 1,000 points and the S&P 500 dropping 2.8% in early trading. Business leaders and tech enthusiasts are closely monitoring these developments, which underscore the volatile nature of global trade dynamics.
In addition to tariff hikes, the Chinese mainland's Commerce Ministry has taken several steps to protect its interests. A lawsuit has been filed with the World Trade Organization over the U.S. tariff actions, while 11 U.S. companies, including a leading drone manufacturer, have been added to an unreliable entity list. Export controls have also been imposed on dual-use items destined for 16 U.S. entities, with further measures targeting exports related to seven types of medium and heavy rare earths.
Moreover, the General Administration of Customs has suspended import qualifications for products from six U.S. companies due to inspection and quarantine concerns. An anti-dumping investigation into medical computed tomography tubes from the U.S. and India has also been launched, marking a multifaceted approach to address perceived trade imbalances.
This sweeping set of actions reflects the Chinese mainland's strategy to safeguard its industries and counteract external economic pressures. As the global community watches, analysts expect that these measures will have significant implications for international markets, trade policies, and the broader economic landscape.
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China hits back at U.S.'s new tariffs with 34% added tax, export curbs
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